CP increases 2013 capital investment

Canadian Pacific (CP) will move forward certain capital spending projects originally targeted for 2014 into this year, funded by a higher than anticipated 2013 cash-flow projection. CP will be investing an additional CA$75 (US$74.8) to CA$100 (US$99.7) million into its 2013 capital investment program.

In December 2012, CP announced 2013 capital spending of up to CA$1.1 billion (US$1.09 billio.

"As our railway continues to transform, we see opportunities to accelerate enhancements to key sections of our North American system," said chief executive officer, E. Hunter Harrison. "By taking these opportunities now to further improve our operations, we will be better positioned to respond to our customers' shipping needs."

The projects are primarily focused on productivity, safety and efficiency, and include:

• Advance track upgrade work on the north mainline between Winnipeg and Edmonton

• Upgrades to signaling systems on CP's mainline between Moose Jaw and Chicago, Ill., which will improve productivity and increase capacity to meet shipping growth

• Achieve further expense savings and strengthen the balance sheet by opportunistically acquiring core assets that would otherwise be leased